Silevector Has a Degree of Pretax Cash Flow Operating Leverage

question 27

Multiple Choice

Silevector has a degree of pretax cash flow operating leverage equal to 1.341. If the firm's EBITDA was $2,500 last year while its depreciation and amortization expense was $200 in the same year, then what was the firm's degree of accounting operating leverage? (Do not round the intermediate calculations. Round your final answer to two decimal places)

• A) 2.54
• B) 1.96
• C) 1.46
• D) 2.39

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